I need to buy a bigger car (7 seats) quickly for our holiday in 2 weeks' time. I was planning to buy privately but am a bit concerned about getting scammed (just had a near miss) so am going to look at secondhand car dealers. All the prices on e.g. autotrader and at a couple of local places I've looked at seem way higher than the valuations on Parker's car price guide. Is this because they expect you to negotiate a discount? If so, how big? I tried (and failed miserably) at one of the local places- I asked what their best price would be and they said the price on the windscreen as it was fair (was listed as £7500 in Parker's guide, he was selling it for £8750- similar mileage). I'd be gratedul for anyone's advice or experience?
The Parker's valuation guide (free online thing) lists diffefent values for private/ dealer/ main dealer so I assumed this should allow for their profits but the figures are still way higher in real life for all the cars I can find.
Ex franchised car dealer here. Parkers guide is a readily available guide that the motor trade doesn’t use. We use CAP or Glasses guide which are only available to the trade under a subscription. Guides are just that. Sometimes cars are worth more than the guided prices as they are highly in demand. Sometimes less than guide because there is no demand. Colour, spec, model year, number or type of previous owner (e.g ex rental) and mileage can all adversely or positively affect the price. The trade is actively trying to get away from haggling and depending upon the franchised dealer group you are buying from it may be that this is the price. Essentially on a used car for that price i would expect a discount of up to £500 maximum from a manufacturer approved main dealer if the car has been in dealer stock for more than 45 days, less if has just arrived. Turnover in this case has no correlation to profit. Buying a watch or diamond ring for the same value would yield a greater profit % versus turnover. Cars are sold subject to franchise arrangement when new so the profit is not on the same terms for dealers, the winners for the profit there are the manufacturer. Dealers when selling used cars have to place a manufacturer used car warranty, repair cosmetic defects (scuffed alloys, windscreen chips, stone chips etc) have a full mechanical check, fuel it, pay the salesman and associated fixed costs of the dealership and also bear the cost on advertising websites. By the time these costs are taken into consideration there is little room left for negotiation given that the trade in price from the previous owner was probably attractive enough to win the business.
Assuming this is a main dealer (not Fred’s autos where your chances of a refund are next to nil of it goes wrong ) I’d suggest going back and explaining you really want the car but are only prepared to pay x £’s. See what happens, and good luck!
Are you part Exing your old car? That’s a key place to negotiate.
You need to be willing to say “no sorry that was more than I wanted to pay” get up and walk out - chances are they will quickly ‘talk to the manager’ and come back with a price closer to what you wanted!
Last time I changed cars I ‘saved’ £1000 on the displayed price by sticking to my guns!